Pursuant to a legislative requirement and a congressional request, GAO audited the House Beauty Shop Revolving Fund's financial statements and related statements of operations and cash flows for the periods ended September 30, 1993, and the 9 months ended September 30, 1992.

GAO found that: (1) the financial statements were reliable in all material aspects; (2) the Fund's internal controls needed improvement; and (3) there was one issue of noncompliance with laws and regulations for the periods ended September 30, 1993 and September 30, 1992.